What: Thai retail giant commits 1.4 billion USD to store expansion and renovation through 2027, targeting 5% annual growth in revenue and EBITDA.

Why it is important: The expansion plan highlights the growing importance of Southeast Asian markets in global retail, despite current economic challenges.

Central Retail Corp has announced a substantial 47-billion-baht ($1.4 billion) investment plan for expansion and store upgrades across Thailand and Vietnam through 2027. The three-year strategy includes opening 57 to 72 new stores in various formats and renovating up to 41 existing locations. Currently operating 1,889 stores in Thailand, 131 in Vietnam, and nine in Italy, the company aims to achieve 5% annual growth in both EBITDA and revenue until 2027, building on its 2024 performance where EBITDA rose 6% to 34.4 billion baht and revenue increased 5.7% to 262.8 billion baht. To enhance operations, Central Retail is implementing AI technology for seamless omnichannel shopping experiences while strengthening its loyalty program, which now boasts over 26 million members.

IADS Notes: Central Retail's ambitious expansion plan reflects broader transformations in the Asian retail sector. According to Inside Retail's March 2025 coverage, the company has maintained 5.3% overall revenue growth through strategic expansion, despite challenges in its Vietnam operations. Inside Retail's February 2025 analysis showed how major Asian retailers are investing heavily in technological integration, with 90% of consumers valuing AI-driven personalisation. Inside Retail's March 2025 report revealed Vietnam's retail market is set to reach $350 billion in 2025, explaining Central's continued investment despite current challenges. Inside Retail's March 2025 coverage highlighted how Central Pattana has emerged as Southeast Asia's dominant mall operator, boasting 90% occupancy rates, which demonstrates the group's successful mixed-use development strategy. The new 47-billion-baht investment plan, targeting store expansion and renovation across Thailand and Vietnam through 2027, shows how Central Retail is balancing physical expansion with digital transformation to maintain its regional leadership position.

Central Retail earmarks up To $1.4 billion for expansion in next three years